Crab Pattern, Price Retraced Amid NFP, Long EURSD, 7th October 2016

EURUSD H4 Charteurusd-h4-20161007

EURUSD H1 Charteurusd-h1-20161007

Technical Analysis: The price has reached the bottom of a key sideways consolidation and has rebounded off.
A crab had appeared in H1 chart after an attempt to break below the key support zone at 1.1157 which signals for an appreciation to follow.
Price has retraced during NFP and thus an opportunity for a better price to long has appeared to continue the crab effect.
Market Sentiment: During NFP, price whipsawed amid mixed sentiment from a mixed data, with employment appeared slightly weaker than forecast whereas  wages growth improved.
The employment, however, holds a little more weight as compared to wages growth thus expecting the dollar to weaken eventually after the whipsaw.
EURUSD is already trading at the bottom of a key consolidation and the probability of price appreciating is higher, together with the crab pattern which is already causing the price to appreciate.
Trading Plan: Long EURUSD as soon as price begin to exhaust from a drop due to NFP and pulled back from the dip at 1.1130.
Stop loss was set at the previous low where the crab was completed at 1.1103.
First TP level is seen at 1.1194, the beginning of the resistance zone, and the second TP level will be at 1.1266 based on Fibo level 127.2% of the crab pattern which is also at the to of a key resistance zone.
Will be waiting to take partial when the price reaches TP1 at 1.1194 and look for an opportunity to stack another trade after seven wave completes a retracement, preferably at 1.1156 at the support zone.
Trade Modification:
EURUSD.M15 20161007 Mod1.png[07/10/2016 20:35] Exited 1/2 position at 1.1186 as price pulled away from resistance zone.
Stop loss shifted to 1.1121, 22 pips below Fibo retracement level 61.8% based on current swing low to high.
[10/10/16 22:58] Full exit as the price has taken too long to resume appreciation based on the crab pattern.EURUSD.M15 20161007 Mod2.png
Result: Gain 2.51%eurusd-h1-20161007-result

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